Clouded Judgement
Weekly SaaS market analysis covering earnings season dynamics, valuation multiples across the SaaS universe, and the author's thesis that COVID will disproportionately benefit tier-1 companies while many mid-tier businesses will fail to meet elevated expectations. The piece includes detailed benchmarks on NTM revenue multiples, operating margins, and key SaaS metrics, alongside forward guidance on upcoming earnings announcements.
Metrics in this report
50percent
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Microsoft YoY growth for Q2 2020 (ended 6/30/20)
28months
median
SaaS market as of July 2020
12.9x
median
Overall SaaS market as of July 2020
37.9x
median
Top 5 SaaS companies by valuation (Shopify, Coupa, Datadog, Zoom, ZoomInfo)
25.2x
median
High-growth SaaS (>30% projected NTM growth)
13.3x
median
Mid-growth SaaS (15-30% projected NTM growth)
9.1x
median
Low-growth SaaS (<15% projected NTM growth)
73percent
median
SaaS market as of July 2020
34percent
median
SaaS market as of July 2020
22percent
median
SaaS market as of July 2020
117percent
median
SaaS market as of July 2020
-15percent
median
SaaS market as of July 2020